Keppel Land Profit Pluges!

Posted yesterday: Worst Ever Recession For Singapore

Today one of the news clip caught my attention. Keppel Land, the property arm of giant Keppel group announced that its profits plunged 88 percent.

• SINGAPORE: Keppel Land Ltd, a developer controlled by the world’s largest oil-rig builder, said fourth-quarter profit dropped 88 per cent as home sales slowed in Singapore and overseas markets.
  
  Net income declined to S$68.5 million (S$1 = RM2.40), or 9 cents a share, in the three months ended December 31, from S$572.3 million, or 78.1 cents, a year earlier, the Singapore-based developer said in a statement to the stock exchange.
  
  Sales declined 47 per cent to S$197.4 million. — Bloomberg

Back in October 2008 Keppel Land had already announced rather poor earnings. The warning signs were there already.

• Keppel Land has turned in a 23.2 per cent drop in earnings for the first nine months of 2008.
  
  Net income came in at S$159 million. Revenue for the same period fell by almost 38 per cent on-year to S$645 million.
  
  Keppel Land said the global economic crisis has hurt residential sales in China, Vietnam, India and Indonesia in the third quarter of 2008.
  
  It also saw lower earnings from its property services and hotels division.
  
  For the third quarter, the company’s profit fell 43.6 per cent on-year to S$46.2 million, compared with S$81.8 million a year earlier.
  
  Sales dropped 51.4 per cent from S$382 million to S$185.8 million.

And the following screen shot of Keppel Land charts shows it all.